Blobs are a newly introduced data structure on the Ethereum network that aims to improve scalability and efficiency by reducing congestion and lowering transaction costs. Officially introduced in the Dencun upgrade on March 13, 2024, blobs are seen as a crucial component in scaling Ethereum through rollups, also known as Layer 2s. Before the introduction of blobs, congestion on the Ethereum network would directly impact the cost of transactions on Layer 2s. Blobs work by introducing a new data storage space called blobs that hold transaction data until it is verified, after which it can be deleted, freeing up block space on the Ethereum blockchain.
Proto-danksharding, the precursor to full-danksharding, introduces the concept of blobs to Ethereum in EIP-4844, setting the groundwork for future scalability improvements. Full-danksharding is an upcoming protocol update that aims to make Ethereum faster and cheaper to use. By implementing proto-danksharding and introducing blobs, Ethereum developers aim to reduce the risk of making drastic changes to the network too quickly. The introduction of blobs in the Ethereum ecosystem marks a significant step towards improving scalability and efficiency within the network.
Blobs work by storing transaction data in binary large objects (blobs) that can hold up to 32 bytes of data per field element, reducing state bloat and congestion on the Ethereum network. Once data is verified from a blob, it can be deleted, freeing up space on the blockchain. Blobs also operate using a separate gas market called “blob gas,” which is independent of the traditional gas market on Ethereum mainnet. This separation prevents congestion on the Ethereum network from affecting the cost and speed of transactions on Layer 2s, making them more profitable and efficient to use.
Despite some initial challenges, including slower-than-anticipated transaction posting to Layer 1 and occasional increases in transaction costs, blobs have shown promising results in improving scalability and efficiency on Ethereum. The decoupling of transaction costs on Layer 2s from congestion on the Ethereum network has led to significant cost reductions, making it more affordable to operate complex smart contracts and dApps. While there have been some growing pains with blob adoption, solutions are already in progress to address these issues and further enhance the benefits of using blobs on the Ethereum network.
The introduction of blobs has already had a significant impact on Layer 2 networks, with many of the highest transactions per second networks already incorporating blobs into their operations. By implementing blobs, these networks have seen a substantial decrease in transaction costs, making it more cost-effective to conduct transactions on Layer 2s. While there may be some challenges to overcome in fully optimizing the use of blobs, the potential for scalability and efficiency improvements on the Ethereum network is substantial, and ongoing efforts are being made to address any issues and enhance the benefits of using blobs.
In conclusion, blobs are a crucial innovation that aims to improve scalability and efficiency on the Ethereum network by reducing congestion, lowering transaction costs, and optimizing data storage. By introducing blobs in the Dencun upgrade, Ethereum has taken a significant step towards achieving improved scalability and making Layer 2 operations more profitable and efficient. While there may be some initial challenges to overcome, the long-term benefits of using blobs on Ethereum are substantial, and ongoing efforts are being made to optimize their use and enhance the overall performance of the network.
